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CrowdCheck applauds crowdfunding provisions of JOBS Act, warns of potential fraud in emerging marketplace
For Immediate Release: April 2, 2012 Contact for media inquiries: Abigail Gardner | firstname.lastname@example.org | 202.464.6603 Washington, DC- Today Sara Hanks, securities attorney and cofounder of CrowdCheck, applauded the JOBS Act for expanding crowdfunding investments to for-profit businesses, but cautioned that entrepreneurs and investors must be vigilant against possible fraud in the marketplace. President Obama is expected to sign the legislation into law soon. Hanks, the former general counsel for the Congressional Oversight Committee for TARP that monitored the federal banking bailout, said the new law will strike a good balance between allowing the Internet…
Not sure about some of the crowdfunding provisions in the JOBS Act? Well, we'll be providing a plain-language summary of the Act on this site very soon. In the meantime, a couple of the Senators most concerned with crowdfunding have made some very helpful comments that clarify, for example, that crowdfunding portals are allowed to perform due diligence services, and act as holder of record for crowdfunded investments. See Thursday's Congressional Record.
Corporate crowdfunding is the talk of the town! Our CEO Sara Hanks talks with NPR's All Things Considered about the promise and peril of crowdfunding. Check back for more information about how Crowdcheck helps investors avoid fraud and helps entrepreneurs show the world they mean business.
Hot off the digital presses is a copy of the JOBS Act (PDF) that is awaiting the President's signature. It is a big bill addressing many areas besides Crowdfunding, but the good stuff is in Title III of the bill. I'm not going to lie, it reads like a statute (all the lawyers in the audience just shuddered) in a few places. But never fear! Follow this blog to get regular insight and analysis from our CEO and our other experienced security lawyers on what this means for entrepreneurs and investors.
Today has been a big day for the American economy with the House passing the historic JOBS act all that is left to make Corporate Crowdfunding legal is the President's signature, which is expected we can look forward to a revolution in how young and smaller companies can raise funds. Our CEO has a piece in The Hill on the JOBS Act that we think you will enjoy, and for the younger set our Director of Entrepreneur Services has a piece on Policymic.com. Let us know what you think, and keep watching this space for more information!
Welcome to the new Crowdcheck.biz! As many an entrepreneur has heard, if you aren't embarrassed by your first webpage you aren't moving fast enough. Well, while we weren't exactly embarrassed by the old page we must admit that this one is a good bit nicer. So check it out, sign up for our email list to get exciting updates as corporate crowdfunding becomes closer to a reality. And of course, don't hesitate to contact us if you are interested in showing the world your company means business!